Borosil Renewables Q2 FY27 results: net profit up 11.7% to ₹68.78 crore, revenue up 4.7%

How did Borosil Renewables perform in Q2 FY27?

Borosil Renewables reported consolidated revenue of ₹396.70 crore in Q2 FY27, up ₹17.82 crore or 4.7% from ₹378.88 crore in Q2 FY26. EBITDA was ₹105.34 crore, down ₹13.27 crore or 11.2%, while the margin declined 4.7 percentage points to 26.6% from 31.3%. Profit before tax was ₹89.86 crore, up ₹3.08 crore or 3.5%.

Net profit was ₹68.78 crore, compared with ₹61.58 crore in Q2 FY26, while basic EPS was ₹4.78 against ₹1.98. Against Q1 FY27, revenue fell ₹8.99 crore to ₹396.70 crore, EBITDA declined ₹21.84 crore to ₹105.34 crore, and net profit was lower by ₹17.86 crore at ₹68.78 crore. On the standalone basis, revenue was ₹396.16 crore and profit after tax was ₹70.13 crore.

What changed in Borosil Renewables' costs and profit?

Total expenses rose ₹31.57 crore or 11.0% year on year to ₹317.72 crore, outpacing the increase in revenue. Employee cost increased ₹5 crore to ₹27.01 crore, depreciation rose ₹1.46 crore to ₹23.74 crore, and other expenses increased ₹7.85 crore to ₹167.62 crore. Cost of materials was nearly unchanged at ₹89.74 crore, while finance costs fell ₹0.99 crore to ₹2.62 crore.

Other income increased ₹9.07 crore to ₹10.88 crore, and tax expense declined ₹4.23 crore to ₹20.82 crore. There was no exceptional item in Q2 FY27, against a charge of ₹7.75 crore in the year-ago quarter. The filing attributed lower quarterly realisations to a reduced fuel surcharge and lower production, with management citing furnace maintenance and production adjustments.

Against Q1 FY27, total expenses increased ₹15.32 crore to ₹317.72 crore and other income fell ₹3.11 crore to ₹10.88 crore. Tax expense was lower by ₹10.43 crore, while finance costs rose ₹0.30 crore, depreciation increased ₹2.18 crore and employee cost rose ₹1.50 crore. The EBITDA margin narrowed 4.7 percentage points from 31.3%.

How did the first half of FY27 go?

In H1 FY27, consolidated revenue was ₹802.39 crore, up ₹76.94 crore or 10.6% from ₹725.45 crore in H1 FY26. Total income rose ₹93.71 crore or 12.8% to ₹827.26 crore, while profit before tax moved from a loss of ₹99.95 crore to a profit of ₹207.14 crore.

Profit after tax for the first half was ₹155.42 crore, compared with a net loss of ₹141.91 crore in H1 FY26. Basic EPS was ₹10.95 against a loss of ₹10.55 in the previous first half.

What do the balance sheet and cash flow show?

Total assets increased to ₹2261.86 crore at 30 September 2026 from ₹1824.89 crore at 31 March 2026, while total equity rose to ₹1944.77 crore from ₹1509.63 crore. Borrowings declined to ₹128.05 crore from ₹162.14 crore, and cash increased to ₹188.91 crore from ₹61.21 crore.

Inventories were ₹141.34 crore at 30 September 2026, against ₹120.07 crore at 31 March 2026. Trade receivables increased to ₹164.93 crore from ₹121.31 crore, while trade payables rose to ₹63.18 crore from ₹49.8 crore. For H1 FY27, operating cash flow was ₹135.23 crore, compared with ₹135.75 crore in H1 FY26.

Investing cash flow was negative ₹247.95 crore in H1 FY27, compared with negative ₹131.84 crore a year earlier, as capital expenditure rose to ₹278.92 crore from ₹46.61 crore. Financing cash flow was positive ₹240.41 crore, against negative ₹6.2 crore in H1 FY26.

How has Borosil Renewables done over the last 8 quarters?

Revenue rose year on year in each of the last five quarters. It peaked at ₹439.92 crore in Q4 FY26 before falling to ₹405.69 crore in Q1 FY27 and ₹396.70 crore in Q2 FY27. The current direction was therefore lower for revenue, although it remained above the year-ago quarter.

Profit after tax bottomed at a loss of ₹203.49 crore in Q1 FY26, then improved to ₹61.58 crore in Q2 FY26 and peaked at ₹169.12 crore in Q4 FY26. It subsequently fell to ₹86.64 crore in Q1 FY27 and ₹68.78 crore in Q2 FY27. The EBITDA margin peaked at 31.5% in Q3 FY26 and was 26.6% in the latest quarter.

What else did the company announce?

The board approved the unaudited standalone and consolidated results for the quarter and half year ended 30 September 2026. It also approved amendments to the Borosil Employee Stock Option Scheme 2017, allowing shares for option holders to be arranged through a Trust or, until the Trust is operational, through direct primary issuance to option holders. The amendments remain subject to shareholder and other regulatory approvals.

The board extended the deadline for using the portion of Preferential Issue–2 proceeds allocated to general corporate purposes from 16 October 2026 to 31 March 2027, citing unforeseen operational exigencies. India Ratings also upgraded the company’s long-term bank-loan rating to IND AA-/Stable from IND A and its short-term rating to IND A1+ from IND A1.

What did Borosil Renewables' management say?

Management said October output rebounded sharply after Q2 maintenance, supporting recovery of the estimated INR15 crore revenue loss. It expects the two 600 tpd furnaces to fire in February and March 2027, adding 60% capacity and commissioning toward the end of Q4 FY27. The project cost is INR1,100 crore, fully funded by INR800 crore internal funds and INR300 crore debt.

Management expects Q3 FY27 realisation to move from INR155.9/mm toward approximately INR160.3/mm by quarter-end following restoration of the fuel surcharge. It hopes to sustain 31-32% EBITDA margins in FY27 and FY28 and expects Q3 margins to move back toward prior levels, while Q2’s lower production and reduced fuel surcharge weighed on margins.

Management said no production loss is planned or expected in FY27, but each of two mature furnaces may require a sequential 75-day rebuild in H1 FY28. It expects the new line to add 2-3 percentage points of operating leverage and turnover to rise by a similar approximately 60% as capacity in FY28. The rooftop solar-kit business will be scaled cautiously, with its next growth phase assessed by end-FY27.

Management identified gas prices, imported dolomite, limestone and freight costs as margin risks because there is no general pass-through mechanism. It also said rooftop solar kits carry low trading margins and may dilute profitability as the business scales. The chairman added: “This is a speculative answer. We cannot guarantee that we make up the volume loss.”

How did Borosil Renewables shares react?

After the filing, the stock fell 1.9% within 5 minutes, 3.4% within 15 minutes and 3.5% within 30 minutes. From the pre-results close of ₹390.00, it closed the first session that could trade on the news down 0.9%, and by the next day’s close it was down 3.1%.

Earlier reaction-day moves were mixed. The stock fell 2.2% on 16 July 2026, was unchanged on 12 May 2026, fell 4.0% on 28 January 2026 and 4.4% on 12 November 2025, and rose 3.7% on 23 July 2025.